International Law

National Rental Affordability Scheme

The Prime Minister has announced the National Rental Affordability Scheme which is designed to create a new ?asset class? of affordable rental properties.

Under the Scheme, the Commonwealth will provide private investors with tax credits of $6,000 a year for ten years for new properties that are rented at 20 per cent below the prevailing market level.

States and Territories have agreed to provide $2,000 per home either through cash payments or in kind, such as via the provision of cut price land or concessions on stamp duty.

The initiative would mean, for example, that rent on a new average three bedroom unit would fall for $350 a week to $280 a week ? a $70 saving.

Full post as published by Australian Regulatory Compliance Review on March 03, 2008 (boomark / email).